Oil prices near $96 as Asian, U.S. stocks sink

PanARMENIAN.Net - Oil prices fell to nearly $96 a barrel as energy prices took their cues from sinking stock markets in Europe, Asia and Wall Street, AP reports.

Benchmark oil for March delivery fell 9 cents at midday Bangkok time to $96.08 per barrel inelectronic trading on the New York Mercantile Exchange. The contract dropped by $1.60 to finish at $96.17 a barrel on the Nymex on Monday.

Oil prices had risen steadily since they traded near $86 a barrel in mid-December on hopes for an improving global economy. But U.S. stock indexes had big declines Monday amid concerns about political stability in Italy and Spain.

"The feel-good factor from last week's U.S. data has given way to some profit-taking," said Michael Hewson of CMC Markets.

An Italian general election at the end of this month looks like it may not be as clear-cut as many people thought. Meanwhile, Spanish Prime Minister Mariano Rajoy denied allegations over the weekend that he and his party received secret cash payments from businesses. Opposition parties are calling for Rajoy to resign. Benchmark stock indexes in both countries endured their steepest drops in months on Monday.

Brent crude, the benchmark used to set prices for oil used by many U.S. refineries, fell 46 cents to $115.14 in London.